Sir Keir Starmer said the UK is set to increase spending on defence, security and resilience to 5% of GDP by 2035 to meet an “era of radical uncertainty” – but without promising any additional cash.
The move – part of a new spending pledge by the NATO alliance – was panned as deceptive “smoke and mirrors” by critics, who pointed to the very real risk of escalating conflict between Iran, the US and Israel, as well as Russia’s full-scale war in Ukraine.
Volodymyr Zelenskyy told Sky News the timeline for the increase was “very slow” and warned Russia could attack a NATO country within five years.
“In my view, this is slow because we believe that starting from 2030, Putin can have significantly greater capabilities,” he told chief presenter Mark Austin.
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‘Russia could attack a NATO country’
The prime minister, Donald Trump and the other leaders of NATO’s 32 member states are expected to approve the investment goal when they meet at a summit in The Hague, which opens later today.
It replaces a previous target to spend 2% of GDP purely on defence.
The announcement will be celebrated as a win for the US president, who has been demanding his allies spend more on their own defences instead of relying on American firepower.
Perhaps it will mean he will switch attention back to achieving a goal to end Russia’s war in Ukraine, which will be another key focus of the gathering in the Dutch capital.
NATO planners have crunched the summit down to a short main session tomorrow, with a final communique much briefer than usual – all steps designed to reduce the chance of the US president leaving early.
He is already scheduled to arrive late and last this evening, provided he turns up.
There is huge nervousness about Mr Trump’s commitment to an alliance that has been the bedrock of European security since it was founded more than 75 years ago.
He is not a fan though, and has previously accused Europe and Canada of an overreliance on American firepower for their own security, calling for them to do more to defend themselves.
Image: Trump is expected to join Starmer and fellow leader NATO leaders at The Hague. Pic: Reuters
This pressure has arguably been a bigger motivator in prompting certain allies to agree to spend more on their militaries than the threat they say is posed by Russia, Iran, China and North Korea.
Spain’s position could create friction this week. The Spanish prime minister, while agreeing to the new investment goal, has said his country is not obliged to meet it.
The UK was also slow to say yes – a stance that was at odds with a defence review endorsed by Sir Keir that was centred around a “NATO-first” policy.
As well as agreeing to the defence and security investment goal, the British government is also publishing a new national security strategy on Tuesday that will highlight the importance of a wider definition of what constitutes security, including energy, food and borders.
There will also be a focus on a whole-of-society approach to resilience in an echo of the UK’s Cold War past.
Image: Preparations for the NATO summit at The Hague. Pic: Reuters
It described the commitment to invest in defence, security and national resilience as an aligning of “national security objectives and plans for economic growth in a way not seen since 1945”.
Sir Keir said: “We must navigate this era of radical uncertainty with agility, speed and a clear-eyed sense of the national interest to deliver security for working people and keep them safe.
“That’s why I have made the commitment to spend 5% of GDP on national security. This is an opportunity to deepen our commitment to NATO and drive greater investment in the nation’s wider security and resilience.”
The funding will be split, with 3.5% of GDP going on core defence and 1.5% on homeland security and national resilience – a new and so far less clearly defined criteria.
Progress on investment will be reviewed in 2029.
Image: Starmer today met with Zelenskyy at Downing Street. Pic: Reuters
The defence goal is higher than the government’s current ambition to lift defence expenditure to 3% of GDP by 2034, from 2.3% currently.
The only solid commitment is to spend 2.6% on defence by 2027 – a figure that has been boosted by the addition of the whole of the budget for the intelligence agencies.
This level of intelligence spending had not previously been included and has drawn criticism from defence experts because it is not the same as tanks, artillery and troops.
The government, in its statement, is now focusing on an even higher-sounding number, claiming that it will hit 4.1% of the new NATO target by 2027.
However, this is merely based on adding the new 1.5% spending goal for “resilience and security” to the already stated 2.6% defence spending pledge.
A Downing Street spokesperson was unable immediately to say how much of GDP is currently spent on whatever is included in the new resilience category.
It could include pre-announced investment in civil nuclear energy as well as infrastructure projects such as roads and railways.
For the UK, 1.5% of GDP is about £40bn – a significant chunk of national income.
Sir Ben Wallace, a former Conservative defence secretary, accused the government of “spin” over its spending pledge because it does not include any new money anytime soon.
“The threat to our country is real not spin,” he told Sky News.
“This government thinks it can use smoke and mirrors to deceive the public and Donald Trump. This is an insult to our troops who will see no significant new money. It fools no one.”
While many Labour MPs initially indicated they backed the bill in principle, support has ebbed away over recent months amid warnings about the impact the cuts could have on the most vulnerable people in society.
Around 119 Labour MPs have now signed a reasoned amendment to oppose the government’s proposals – which, if passed, would effectively kill the legislation.
But speaking to Sky News’ political editor Beth Rigby from the NATO summit at the Hague, the prime minister said the welfare system needed reform and was “not working for anyone”.
He said the vote planned for Tuesday was not a confidence vote in his leadership but on the need to reform the system.
“I think most colleagues do accept the case for reform,” he said.
“We’ve got to get on and make that reform because the options are: leave the system as it is, trusting people and not helping them, that’s not a Labour option. The Labour option is to reform it and make it fit for the future. So we’re going to press ahead with these reforms.”
Image: Sir Keir Starmer made the comments on his way to a NATO summit in the Netherlands. Pic: AP
Welfare system ‘unsustainable’
Sir Keir spoke to reporters on the way to the summit about the reforms, saying there were around 1,000 people a day signing up for personal independence payment (PIP) – equivalent to the size of the population of Leicester.
“That is not a system that can be left unreformed, not least because it’s unsustainable, and therefore you won’t have a welfare system for those that need it in the future,” he added.
“So those that care about a future welfare system have to answer the question – how do you reform what you’ve got to make sure it’s sustainable for the future?'”
Introduced in March, the government’s welfare bill outlines proposals to make it harder for some disabled people to qualify for PIP while also cutting universal credit, another benefit.
What are the main changes in the welfare bill?
The most controversial elements of the government’s welfare bill are changes to PIP and Universal Credit.
PIP is money for people who have extra care needs or mobility needs as a result of a disability.
People who claim it – some of whom are in work – are awarded points depending on their ability to do certain activities, such as washing and preparing food, and this influences how much they will receive.
Under the plans, from November 2026, people will need to score a minimum of four points in at least one activity to qualify for the daily living element of PIP – instead of fewer points across a broader range of tasks the person needs help with.
Currently, the standard rate is given if people score between eight and 11 points overall, while the enhanced rate applies from 12 points.
The changes do not affect the mobility component of PIP.
And from April next year, the health element of Universal Credit will be frozen in cash terms for existing claimants at £97 per week until 2029/2030.
For new claimants, the health element of Universal Credit will be reduced to £50 per week.
However, ministers point to the fact that the Universal Credit standard allowance will increase from £92 per week in 2025-26 to £106 per week by 2029-30.
Overall, 3.2 million families are expected to lose an average of £1,720 by the end of 2030 due to the changes.
However, the government has stressed that these figures do not take into account the £1bn that is being put towards helping the long-term sick and disabled back into work.
It is these changes that have caused the most anxiety among MPs.
As one Labour MP told Sky News: “If the thrust of the policy is getting people into work, how does cutting support for people in work, work?
“The thrust of the proposals is right but cutting PIP and Universal Credit isn’t about getting people back into work, it’s about saving money.”
The reasoned amendment calls on the government to delay the proposals pending an assessment of the impact of the PIP cuts.
It also cites concern about the government’s own figures which show 250,000 people could be pushed into poverty as a result of the changes and the lack of a formal consultation with disabled people.
One Labour rebel told Sky News there was a “broad sense of unease across all levels of the parliamentary party”.
“Almost everyone thinks there needs to be reform and there are a lot of good things in the bill, but elements need more thought and explanation if they are going to proceed,” they said.
“Unless those issues are revised, or much better explained and justified, I don’t think there is enough support for the measures. People are really worried there is a rush to do this and that we might sleepwalk into this as we have done with other issues.”
On Tuesday, Downing Street suggested the vote would still go ahead despite the concerns of some MPs – including influential chairs of parliamentary select committees.
Asked whether the government was confident it could pass the legislation, a Number 10 spokesman told reporters: “We are focused on delivering last week’s bill and engaging, talking to colleagues, as to why this reform is so important.”
Pressed on whether the vote was happening next week, they added: “I would never get ahead of parliamentary business. It’s scheduled for next week. We are committed to reforming welfare.”